The Power of Tax Deferral

Annuities

A tax-deferred annuity* is the perfect way to set aside money for your retirement, or contribute funds periodically.

A few of the great benefits:

• You'll owe no taxes on the interest on your earned funds until you begin to withdraw the proceeds, and chances are you'll be in a lower tax bracket.
• You can set up automatic payments or contribute as you like.
• You can contribute anywhere from $50 (for a flexible-premium deferred annuity) to $250,000 and possibly more.

If you opened an Amica Life tax-deferred Annuity with a $10,000 contribution (in Texas, known as "annuity premium") earning a 3.25 percent rate of return, here's how your money would grow (assuming a 28 percent tax bracket):

Traditional IRAs

Cash accumulates quickly with tax deferral in a traditional IRA. The sooner you begin, the more time your money has to grow. Look at the advantages of contributing to a traditional IRA annuity:

The above chart assumes a married couple in the 28 percent tax bracket, contributing the combined maximum to Amica Life IRA Annuities beginning in tax year 2011. The calculation assumes a 3.25 percent rate of return.